Engage, Don't Isolate Beijing

December 29, 2001

Less than a year ago, U.S.-China relations had taken a sharp turn for the worse. The collision in April between an American surveillance plane and a Chinese jet fighter near Chinese territory inflamed tensions between both countries.

How the world has changed since then. The Sept. 11 terrorist attacks have convinced Beijing and Washington of the need to work together for mutual peace and security. The Bush administration has taken an important step in this direction by making China a normal and permanent U.S. trading partner.

The new status kicks in on Jan. 1. It puts an end to annual presidential waivers and debates in Congress on whether the United States should trade more or less with the Asian giant. The United States has been rightly concerned about China's human rights record. But no one can deny that China is a country in transition. For some time, it has moved away from a rigid Marxist economy to something more resembling capitalism.

China's new trade status should open its vast market to billions of dollars in U.S. goods and services. U.S. trade with China has increased since the two countries restored diplomatic relations during the Nixon administration. Yet Chinese markets represent a huge untapped potential for U.S. investors.

For sure, the U.S. economy could use such a boost. But business is only part of the picture. China has recognized that it, too, can be a target of Islamic radical movements. It western Xinjiang region is 60 percent Muslim and borders Afghanistan. Islamic separatists in Xinjiang have given Beijing grief in the form of terrorist attacks on government and civilian installations. The Chinese have as much to fear from the Osama bin Ladens of the world as Americans do.

Permanent trade status will not wipe away the differences that exist between the United States and China. Taiwan continues to be a sore point. China should move more quickly to eliminate all weapons sales to nations that sponsor international terrorism. Chinese government respect for human rights has room for improvement.

Yet on balance, U.S. interests are better served by engaging China rather than isolating it. After Sept. 11, this principle became even clearer.